The Real Deal Miami

Tensions rising among GOP, housing industry

January 26, 2011 10:13AM

Housing industry leaders are pushing back against a growing Republican
agenda to reduce the government’s level of involvement in home loans,
according to the Wall Street Journal. The conservative set, historically
friendly with real estate groups, has placed blame government-backed
mortgage groups like Freddie Mac and Fannie Mae for contributing to the
housing crisis, and influential party members, like Rep. Spencer Bachus,
say they want less government skin in the game. “[The industry is]
saying we need a government guarantee,” Bachus said. “If I were the
industry, I would be doing the same thing because I would love to make
loans and if they failed let the taxpayers make up the loss.” [WSJ]